Things you can (and SHOULD) buy in bulk

It's no secret that I am into budgeting and cutting corners where I can. Money is a finite thing for most of us so we need to watch were it goes and the value it brings us. Buying in bulk is something that you should be doing no matter the size of your family. Most memberships to bulk sellers like Sam's Club or Costco don't cost very much per year and can save you bunches if you watch your $/oz ratios. Now just because they are in bulk doesn't always mean that you are getting more for your money but in some cases it really is saving you a lot. So here is a list of things that my family buys in bulk.

Rice

Rice is a grain that is fairly easy to store and you can use it in a ton of recipes. At our local Sam's club we are able to get 50 lb bag of rice for $16.16 which works out to be about $.02/oz of rice which is dirt cheap for something that will literally last you for two years. If you don't have the means to eat 50 lbs of rice there is always the smaller option of 25 lbs. However; I will say it stores quiet nicely in the sack it comes in and just needs to be clipped shut after you are done with it. 

Nutella

Who doesn't love nutella am I right? Here's the deal, you are able to get a larger two pack of nutella at a place like Sam's that maybe costs slightly more than the largest single container you can find at your local grocer and as long as you keep it sealed it can be stored in a cabinet or pantry somewhere until you need to crack it open. 

Gift Cards

Have you ever sniffed out the gift card kiosk at a Sam's or Costco? If you have you will notice that you can buy gift cards in bulk that are discounted. They usually have a plethora of options and is a great way save a little money and gives you an excuse to not cook :)

Body Wash/Shampoo

These items are all about the packaging. There are 2 and 3 packs of your favorite shower products at most of these bulk sellers and they are significantly cheaper this way and usually come in sets that will sometimes allow you to try new products like a travel size hairspray or styling gel. However, sometimes buying these is more expensive as you can't use the same coupons as you could at Target or Wal-mart. 

Cheese

Cheese addicts everywhere know this one. Buying cheese in bulk is a good option because it gets rid of those little packaging costs. Plus, cheese is something that you can freeze when you aren't using it and take it out when you do and it maintains its freshness. 

Soy milk/Almond milk

At our Sam's, we can usually buy these items in packs of three and they keep for quite awhile. So if you are lactose intolerant please save yourself a couple of pennies by buying these in bulk.

ICE flavored water
You know those really good ICE beverages you can find at most gas stations and grocery stores? Those are usually $1.00 a piece when you buy them separately but when you buy them at Sam's club, you can snag these in an 18 pack for about $9 which makes them .50 cents a piece.

So now you have a list to get you started at looking at buying things in bulk but please don't let this limit you. The biggest point I want this post to get across is the price per oz of product you are getting and where that ratio is best you buy. This will save you ton's of money especially when you have the room to store it and have the patience to do the math. Are there any other essentials that you and your family buy in bulk? Let us know!

Love,
Tinsel & Tulle

Money Managment: Can you afford your home?

Now is a topic no one really likes and its called mortgages. In this whole process of house hunting I actually had to sit down and ask myself the question of "What can I afford?" and honestly answer it. I had to sit down with my pay stubs and really look at how I make each month and then take a look at my receipts and see how much money I am spending each month on top of my normal bills. Maybe I can shed some light and help you figure out if you can afford your home or not.

 

Step 1: Figure out Net Income.

When I say net income I don't mean how much money you bring in each month, I'm talking about how much money you have left each month after all of your bills are paid and food has been on your table. use this net income to determine how much you can afford but don't stretch it. I would leave anywhere from $300-400 each month just for spare. You still have to pay taxes, insurance, and utilities on your home and have some extra money to save for things like home improvements and unexpected expenses. 

Step 2: Calculate

Use the net income from above to calculate how much house you can afford. There are a plethora of websites with these type of mortgage calculators and will ask you questions like your net income, the current interest rate of banks, the term of the loan, and other house-ish stuff. One of my favorite calculators to use is http://www.amortization-calc.com/ and it has all sorts of tools on it to help you figure out a budget. Be honest with yourself when calculating and figuring this part out.  

Step 3: Do you have a down payment?

Typically this is the big one for most people. They don't have 20% of the price of a home saved up so they end up paying something called private mortgage insurance which is yet ANOTHER expense to buying a home. The down payment is important because it establishes instant equity in your home while lowering those monthly payments which, by the way, are mostly interest ( look at a amortization schedule).

Step 4: Prioritize

Do you really NEED granite counter tops or stainless steel appliances? Do you really NEED a walk-in closet and a double vanity? Not all houses are going to have all the qualities you want especially when you are on a budget. But you know what? This leave so much room for investment into your property which will hopefully appreciate the value of your home when you go to sell it. These cosmetic fixes are a great way to add value to your home (and fun projects- craft posts coming up soon) so try not to look at them in a bad light because where there is room for improvement there is room for investment. Just be clear that you aren't mixing up wants and needs because it can cost you a pretty penny if you do (that you can't afford). 

Step 5: READ

As of right now, I'm literally reading every piece of real estate advice I can get and I have no shame about it whatsoever. Why? Because buying a house is a large purchase and everyone needs to be doing their due diligence as to what they are getting themselves into. Information is money and lack of information is costly in some cases. So make sure you are educated about what you are getting into and if you don't understand go and talk with your loan officer or realtor and they can and will HELP you. 

These 5 steps are important when deciding how much you  can spend on your new crib. Houses are generally great investments but you really need to understand all the facts and numbers before you dive in head first because you're playing with a lot of money when you talk houses. But the good news is, is that there are so many people out there to help you make a good decision and friends and family are not exception. Let people share their failures and successes with you in hopes that one day you can do the same for someone else.

Love always,

Tinsel & Tulle

6 Questions to Ask When House Hunting

This week, my room mate and I started looking at houses to move into after our time at the dorms has expired. We have gone to a couple of open houses and will be going to a couple more but by knowing the questions you want to ask and questions that are important as to the value of the house you can really make an impression on the realtor in a way that will give you respect in the environment. Yes its intimidating as a 20 something college kid but the rational behind our decision is that it would cost us just as much money to pay rent as it would to pay the mortgage, so why not get a return on our money? So here is a list of some questions you can ask and the pros and cons of each.

1) What did the owners pay in property tax + specialties last year?
Obviously when buying a house the biggest concern is can you afford the mortgage payment or not. But a lot of people don't stop to calculate the property taxes and specialties into their monthly payments. The rational behind this is that if you budget for the taxes each month then at the end of the year when you need to pay X amount in taxes you have that money saved up and ready to go whereas if you don't save that money in your monthly payments you may be scavenging the couch for extra pennies. Also, make sure you are able to set aside money each month for unexpected costs such as a broken window, plumbing issues, or roofing issues.

2) What type of heating/ air is in the house?
This is an important question because how your home is heated and cooled is going to be essential in your monthly utility costs as well as your own information of what it might be to replace it if it breaks or even routine maintenance that may need to be done.

3)When were the windows last replaced?
For us up here in the North this is especially important because if our windows are not properly insulated/ installed we can loose hundreds of dollars each month in heating costs and the same amount in the summer. When is it -30 the last thing you want is that cold air slipping into your home and making your furnace do double time. Also, if the windows are in bad shape that can be a good reason for you to negotiate the price in your favor.

4) When was the house built?
The year built is extremely important just in the fact that older homes tend to have more issues. You want to make sure that if you buy the house you are comfortable assuming the risk of the older structure that can potentially turn into a money pit. However, some of those older homes have great bones and can make for a really great fixer-upper investment so use your best judgement and maybe get a second opinion. Blinded by love is what they say right?

5) What is the price per sq ft of the house?
Obviously location is going to play a huge role in this one. But you want to make sure that if you are in a location that the $/sf is comparable otherwise someone has their price way too high and this is a good way to see the big price tag in another light. It also can give you another pro or con when you are narrowing between homes.

6) Does it come with the appliances?
Being college kids this is a HUGE plus for us. Not having to worry about taking out a huge loan while trying to figure out how we are going to cook our food and wash our clothes is a definite positive. But be careful about what appliances you get and that they aren't trying to pawn off Grandma Jean's old cook top off to you just so it can cause you trouble.

So these are what we think 6 important questions are when finding a house and there are definitely more out there. As we continue this adventure we will be sure to keep updating with tips and tricks that we find along the way. Are there any other important questions that you think should be asked?

With love,
Tinsel & Tulle